Japan’s economy grows in 2024

Spanish Market: Electricity, Oil products
17/02/25

Japan's economy expanded for a fourth consecutive year in 2024 as corporate investment increased, even as oil product demand fell.

Gross domestic product (GDP) rose at an annualised rate of 2.8pc in October-December, according to preliminary government data released on 17 February, following growth of 1.7pc in July-September and 3pc in April-June.

This sent Japan's full-year 2024 GDP up by 0.1pc from a year earlier, its fourth straight year of growth after a Covid-19 induced slump in 2020. Nominal GDP amount totalled ¥609.3 trillion ($4 trillion) in 2024, exceeding ¥600 trillion for the first time.

Investment by private-sector companies rose by 1.2pc from a year earlier in 2024, recording annualised growth of 1.9pc in October-December. The rise partially reflected a government push for a green and digital transformation of the economy in line with its 2050 net-zero emission goal.

Such spending is expected to continue to increase under Tokyo's economic stimulus package. Japanese business federation Keidanren has forecast that nominal capital investment could rise to ¥115 trillion in the April 2027 to March 2028 fiscal year, up by 7.5pc from an estimated ¥107 trillion in 2024-25.

But private consumption, which accounts for more than 50pc of GDP, dropped by 0.1pc from a year earlier in 2024, as inflation capped spending by consumers. This also probably weighed on demand for oil products such as gasoline, despite government subsidies.

Japan's domestic oil product sales averaged 2.4mn b/d in 2024, down by 5.2pc from a year earlier, according to data from the trade and industry ministry Meti. Gasoline sales, which accounted for 31pc of the total, dropped by 2.2pc to 752,700 b/d over the same period.

But Japanese electricity demand edged up by 0.7pc year on year to an average of 98.8GW in 2024, according to nationwide transmission system operator the Organisation for Cross-regional Co-ordination of Transmission Operators. Stronger power demand reflected colder than normal weather in March and unusually hot weather in October.

Japan's real GDP is predicted to rise by 1.2pc during the 2025-26 fiscal year, following predicted 0.4pc growth in 2024-25 and a 0.7pc rise in 2023-24, the Cabinet Office said on 24 January. The figures are the Cabinet Office's official estimates and form the basis of its economic and fiscal management policies.

By Motoko Hasegawa

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12/05/25

Naphtha no longer competitive feedstock: Braskem

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EU, UK diesel imports from Mideast, India fall in April

12/05/25

EU, UK diesel imports from Mideast, India fall in April

London, 12 May (Argus) — Arrivals of diesel and other gasoil in the EU and UK edged lower in April, with high imports from Saudi Arabia's port of Yanbu not fully making up for lower supply from the Mideast Gulf and India. Data from Vortexa show total arrivals at 4.3mn t, lower by 3pc from March on a daily average basis and by 7pc on the year. The Mideast Gulf is the region that has supplied the most to the EU and UK so far this year, stepping up to fill a gap created by weak US arrivals. But market participants said the arbitrage from the Mideast Gulf was shut for most of April. Arrivals from the Mideast Gulf were around 1mn t, dropping by 24pc on a daily average basis from March but only marginally falling from April 2024. Exports from the region probably fell because of maintenance at the 400,000 b/d Rabigh refinery. Geopolitical tensions may have harmed transit through the Bab el-Mandeb strait. The EU and UK imported the largest amount from Saudi Arabia, at 1.3mn t or around 29pc of total arrivals. Around 68pc of Saudi Arabian arrivals, or about 780,000t, came from the Red Sea port of Yanbu, the largest amount from there since December 2020. Yanbu is just south of the Suez Canal, and market participants often treat it similarly to a Mediterranean port when calculating arbitrage economics. Arrivals from India dropped sharply in April, again probably driven by poor arbitrage economics. Arrivals fell by 45pc on the month on a daily average basis and by 33pc on the year, to 455,000t. Only five tankers arrived in the EU and UK from India, compared with 13 in April 2024. Reliance's 1.36mn b/d Jamnagar refinery conducted maintenance on a crude unit in April, and domestic demand reached an all-time high. Imports from the US, the EU's and UK's largest supplier in 2024, remained muted. Arrivals rose by 17pc on the month on a daily average basis to 562,000t, but were still only half the amount of April last year. Spain was the largest EU/UK importer, with 745,000t, the highest since May 2024. Imports may have risen because of maintenance at Repsol's 135,000 b/d Puertollano and 180,000 b/d Tarragona refineries . German arrivals were 493,000t, the highest since January 2023, up by 13pc on the year and more than double levels of March. Shell began to close its 147,000 b/d Wesseling refinery in March, and a turnaround took place at the Bayernoil consortium's 215,000 b/d Vohburg-Neustadt refinery. Demand stepped up, with households taking advantage of lower prices to stockpile product. By Josh Michalowski Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

Australian PM reaffirms climate priority in new cabinet

12/05/25

Australian PM reaffirms climate priority in new cabinet

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India, Pakistan reach US-mediated, fragile ceasefire

11/05/25

India, Pakistan reach US-mediated, fragile ceasefire

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White House ends use of carbon cost

09/05/25

White House ends use of carbon cost

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